Serbia: South Stream is opposite to EU rules claims Energy Community Buschle?

Published on 29. November 2013., News Serbia Energy

An agreement on the construction of the South Stream pipeline in Serbia is in conflict with EU rules at many points, says the deputy director of the Energy Community Secretariat.

“The way in which the bilateral agreement between Serbia and Russia is currently made is not ​​in accordance with the rules of the Energy Community”, said Dirk Buschle.

Buschle said that, if the real new energy infrastructure was made, such as the South Stream, must be provided that a third party have benefit from it.

“It is possible to ask for an exception, but it is necessary to start the procedure that never was initiated by Gazprom, Srbjagas or any of the companies involved in the South Stream project”, he said.

Buschle said that South Stream was not in line with EU rules, as a third party had no right to use the pipeline’s capacity, and also because there were no unbundling of transit and supply activities.

The sections construction of the international gas pipeline South Stream in Serbia should begin on 24^th November. The value of gas pipelines in Serbia is estimated at 1.9 billion EUR.

Construction of the South Stream pipeline through Serbia implements a joint company with headquarters in Switzerland – South Stream Serbia, in which Srbijagas has 49 percent and Russian Gazprom 51 percent of stake.

Buschle participated in Belgrade in a conference on the promotion of investment in energy infrastructure in Serbia, organized by the Association of European Energy Consultants (AEEC).

Source: Serbia Energy